The US has joined India in launching a $30-million, five-year initiative on power distribution reform to meet consumer needs and expand electricity supply, particularly in rural areas.
The Distribution Reform, Upgrades and Management (DRUM) project will see the US Agency for International Development (USAID) co-operate with India to bring electricity and opportunity to millions of people across the country.
"We are partnering with India to demonstrate that commercially viable power utilities are key to meeting consumer needs and expanding supply," US Ambassador David C. Mulford said here Thursday.
"This project furthers the co-operative relationship that continues to evolve between the two democracies," he said at the launch of the project, marked by a signing ceremony between the US Department of Agriculture's Rural Utilities Service and India's Rural Electrification Corporation (REC).
The DRUM project will examine the US experience in rural electrification and then tailor it to India's requirement.
Demonstrating commercially viable and accountable distribution utilities is the focus of the work, said Mulford.
As power-hungry India works to double its generation capacity with the addition of 100,000 MW by 2012, efforts are on to address the grave issue of power theft and improve distribution.
USAID and its partners will improve power grid infrastructure, increase use of clean technologies, and support training of 25,000 utility personnel -- from linemen to senior managers -- on commercial, technical, safety and management aspects of electricity distribution.
In addition to the US Rural Utilities Service, American partners implementing the project include PA Consulting Group and CORE International, Inc.
